MEMORANDUM

TO:                  Roger L. Stancil, Town Manager

FROM:            J.B. Culpepper, Planning Director

                        Gene Poveromo, Development Manager

SUBJECT:       South Grove Planned Development - Housing, Special Use Permit Application  

                        (File No. 9776-89-7469)

DATE:             May 19, 2008

 

INTRODUCTION

 

Adoption of the attached revised resolution would approve a Special Use Permit to allow a planned development of twenty-six residential lots, including four affordable housing lots on the east side of U.S. Highway 15-501, south of the Southern Community Park.  The property is identified as Orange County Property Identifier Number 9776-89-7469. 

 

BACKGROUND

 

The March 10, 2008 public hearing on this application was continued to April 28, at which time the applicant and the Orange Community Housing and Land Trust proposed several changes to the stipulations.  Based on Town Council discussion, Resolution A has been revised the following ways in order to reflect comments received at the April 28 continuation of the public hearing:

 

DISCUSSION

 

Concerns were expressed at the April 28, 2008 continuation of the public hearing, and each is discussed below. 

 

1. Recreation Area Requirement:  The developer proposed, and the staff recommended, a combination of a $50,105 payment-in-lieu and dedication of 35,792 square feet of on-site unimproved recreation area.  The Town received a letter (dated April 8, 2008) from the Orange

Community Housing and Land Trust (OCHLT) requesting consideration of providing a tot lot on-site in the recreation area for the purpose of facilitating social exchange and community building within the neighborhood.  The applicant proposed providing a tot lot in exchange for a commensurate reduction in the payment-in-lieu amount. 

 

In a broader context of policy setting, Council members wished to weigh the advantages accepting a full payment-in-lieu amount for the enhancement of the nearby Southern Community Park, to be enjoyed by the greater community, versus reducing the payment-in-lieu by $14,000 (approximately 28% of the full payment), to install a tot lot to serve only the South Grove neighborhood.

 

Council members asked for additional details on this proposal and asked that any proposed tot lot provision be stipulated in Resolution A.

 

Comment:   The Land Use Management Ordinance does not provide for a payment-in-lieu reduction based on the value of proposed recreation improvements.  In order to achieve such an arrangement, the applicant would need to request, and the Council would need to grant, a modification to the regulations specifically to allow such a trade.

 

Staff considered the relative benefits of a full ($50,105) versus partial ($36,105) payment-in-lieu for enhancement of the nearby Southern Community Park, in terms of benefit to the community as well as to the future residents of South Grove. We recommend the full payment-in-lieu be provided.  We note that the developer or Homeowners’ Association could voluntarily install a tot lot on the South Grove site.

 

We have not revised Resolution A to include a provision for reducing the payment-in-lieu amount in exchange for installation of a tot lot.  The stipulation in Resolution A remains as a combination of approximately $50,105 payment-in-lieu and dedication of approximately 35,792 square feet of on-site unimproved recreation area.

 

2. Affordable Housing: The Council had questions for the applicant and Orange Community Housing and Land Trust (OCHLT) regarding the following:

 

Phasing:  Originally, the applicant proposed affordable units to be provided at 18 months, 24 months, 30 months, and 36 months during the period of home construction on the site. After the March 10 public hearing, the applicant, in concert with the OCHLT, developed a phasing plan for construction of affordable housing which called for every sixth house constructed (#6, #12, #18, and #24) to be an affordable unit.   The Council asked that this change in the phasing plan be reflected in Resolution A.

 

Comment:  OCHLT has informed the staff that such a phasing plan is acceptable (email attached).  We have revised Stipulation #7 to include this change in the phasing plan.

 

Septic Tank Pumping Cost Offset:  After the March public hearing, the applicant conferred with OCHLT to develop a method for compensating affordable home owners for the costs of a septic pumping system.  The two parties indicated their preference to reduce the cost of each affordable home by $1,000 so that that $1,000 could be set aside in a “stewardship fund” by OCHLT which would ensure the pumps could be replaced as necessary in 10-15 or more years.  The Council asked that this arrangement be included in Resolution A.

 

Comment:  We have included this cost offset arrangement in Resolution A.

 

3.  Driveway Layout for Lot 6:   In response to Council comments at the public hearing, the applicant showed a revised driveway layout for Lot 6 so that the portion of the driveway shared for utility access was minimized and there was clear and adequate parking for the Lot 6 residents.  The Council was receptive to this design change.

 

Comment:  We have referenced this revised aspect of the site plan in Resolution A.

 

RECOMMENDATION

 

Revised Staff Recommendation: We recommend that the Council approve the Special Use Permit application with the adoption of Revised Resolution A, which includes the following features incorporated following the April 28 continuation of the public hearing:

 

PROCESS

 

We anticipate that further evidence may be presented for the Council’s consideration as part of the continued public hearing process. 

 

SUMMARY

 

We have attached a revised resolution that includes standard conditions of approval as well as special conditions that we recommend for this application.  With these conditions, we believe that, with the requested modifications to the regulations, the Council could make the four findings necessary to approve the application.  Our recommendation, Revised Resolution A, incorporates input from all Town departments involved in review of the application.

 

Resolution B, attached, would deny the application.

 

ATTACHMENTS

 

  1. April 8, 2008 letter from Orange Community Housing and Land Trust (85 KB pdf) (p. 17).
  2. April 8, 2008 revised recreation area drawing showing tot lot (139 KB pdf) (p. 18).
  3. April 29, 2008 email from Orange Community Housing and Land Trust (p. 19).

 

ADDITIONAL INFORMATION (May 19, 2008)

  1. Staff PowerPoint Presentation [771 KB pdf]